Cash is king in the USA, affirms PYMNTS research
Apr 2, 2018
It appears that 'the narrative that cash is dead or in decline is overhyped, according to the latest PYMNTS research.' The Global Cash Index: US Edition, a collaboration with Cardtronics, predicts that 'U.S. cash share will represent 11.2% of the nation’s GDP by 2021.'
With the majority of Americans reporting to prefer cash for day-to-day payments, cash remains undefeated even in the age of age of debit cards, bank transfers, mobile wallets and cryptocoins.
While Americans’ digital transactions are now powered by a variety of payment methods [...] no single digital payment method has managed to match or unseat cash usage levels. NEW REPORT: Cash Holds Firm Against Rising Digital Dollar, March, 2018
Some Key Findings from the Global Cash Index: U.S. Edition
- The U.S. used over $2.3 trillion in cash in 2015.
- Cash share in the U.S. in 2016 accounted for 12.6 percent of the nation’s GDP.
- PYMNTS forecasts that U.S. cash share will represent 11.2 percent of the country’s GDP by 2021.
“Consumers rate cash highly for convenience, cost, setup and acceptance for payment,”
Excerpt from PYMNTS Global Cash Index: US edition (March 2018) Introduction
Cash has a lot of competition these days. From Google Pay to the latest cryptocurrencies, the news cycle never seems to tire of covering new cashless ways to pay. Concurrently, though, credit cards, debit cards, gift cards and a variety of mobile payments have long vied to claim bigger pieces of the payments pie.
'But rumors of cash’s decline in the U.S. economy have been greatly exaggerated.'
But rumors of cash’s decline in the U.S. economy have been greatly exaggerated. Despite other payment methods competing to give it a run for its money, and a long-running narrative that suggests an imminent demise, PYMNTS research has found cash is maintaining its grip. Indeed, as the world’s largest economy, measured by gross domestic product (GDP), the U.S. is still very dependent on cash. It appears, then, that cash is not only sticking around but is also poised for modest growth in the coming years.
Source
PYMNTS. 'Global Cash Index: United States Edition.' PYMNTS with Cardtronics. Electronically published March 18, 2018. Accessed March 30, 2018.
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